WASHINGTON -- Lawrence Summers, who was considered the leading candidate to replace current Federal Reserve Chairman Ben Bernanke, has withdrawn his name from consideration, the White House said Sunday.
In a statement, President Barack Obama said he had accepted Summers' decision.
"Larry was a critical member of my team as we faced down the worst economic crisis since the Great Depression, and it was in no small part because of his expertise, wisdom and leadership that we wrestled the economy back to growth and made the kind of progress we are seeing today," Obama said.
As director of the National Economic Council, Summers oversaw the administration's response to the economic and financial crisis early in Obama's first term.
Still, Summers faced opposition from some Democrats, including members of the Senate Banking Committee.
Summers' decision could make current Fed vice chairwoman Janet Yellen, another candidate on Obama's short list, the leading candidate to replace Bernanke. Yellen, who became a member of the Fed's board of governors in 1994, would be the first woman to run the Fed.
Obama is expected to announce his nomination as early as this month. Bernanke's term ends Jan. 31, 2014.